Debt Investors Journey Far Afield

Emerging-Market Bonds, With Higher-Yielding Securities, Offer a Lure for Those Chasing Returns

By

Prabha Natarajan And

Erin McCarthy

Updated Jan. 9, 2013 8:01 p.m. ET

Investors have been quick to snap up emerging-market debt at the start of 2013.

The strong demand has sparked a burst of issuance, enabling Mexico and Turkey to sell dollar-denominated bonds at record-low yields. A flurry of Asian companies have also tapped the market, bringing total dollar-denominated emerging-market bond sales from the start of the year through Wednesday to $6.9 billion, according to data provider Dealogic, the...